Diminishing returns along a production function means that each additional hour of labour employed
A) does not produce any additional real GDP.
B) produces a successively larger additional amount of real GDP.
C) produces a constant additional amount of real GDP.
D) forces the real wage rate to rise.
E) produces a successively smaller additional amount of real GDP.
Correct Answer:
Verified
Q22: Q37: The production function displays Q56: The production function is a relationship between Q56: Real GDP is $700 billion, average hours![]()
A) increasing returns.
B) diminishing
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